Trump’s Libra Trashing Could Have Handicapped FB’s Stocks

Trump’s Libra trashing could have a lot to do with the crash in stocks of the major social media giant Facebook as we can read in the altcoin news today.

It’s easy when you are the president of the United States and all it takes is a tweet to move the stock market. Trump might have also launched a tripartite attack on Facebook’s Libra cryptocurrency project. The stocks of the social media giant remained trapped in a holding pattern since the president gave Mark Zuckerberg’s crypto plans a huge red light even as Nasdaq and S&P 500 have managed to reach new all-time highs.

The shares of Facebook dipped below $199 on Friday which puts them roughly below the 1% where they stood on July 11 when Trump stated that Libra would ‘’have little standing or dependability’’ and could never compete with the US dollar. this is not a major decline but it does place Facebook on a different trajectory from the rest of the stock market. Trump’s Libra trashing made it hard for the FB stocks to compete with Nasdaq especially since it added 134 points or 1.5% since July 11 while S&P 500 advanced by up to 25 points or 0.9%.

The major divergence is even more noticeable since the Libra chief David Marcus appeared on Capitol Hill and suffered some shellacking from the critics of the social media giant but also from people from the political spectrum. The consensus coming out of Marcus’ two days of testimony is that the precious project faced a brutal road to regulatory approval if it ever launches at all.

The bullish earnings reports also weren’t enough to lift Facebook back to index parity even though the shares of the company did enjoy a small spike above the S&P 500 and Nasdaq which made it clear that it is starting a downtrend. On the other hand, as noted in the latest cryptocurrency news, Facebook’s stock’s fortnight is looking more appetizing that the bitcoin price and its trajectory since Trump initiated multiple verbal attacks on the number one cryptocurrency. At press time, the Bitcoin price was teetering around $9,500 which is more than 15% lower since Trump became the first president to ever say the word Bitcoin.